Toyota, Honda to produce luxury models in China

SHANGHAI—Japanese automakers are looking to add “luxury” to their brand image for China’s lucrative high-end market, which is dominated by German companies like BMW and Mercedes-Benz.

According to Hiroji Onishi, who heads Toyota Motor Corp.’s Chinese operations, the company is considering production of its luxury Lexus brand vehicles in China.

“We want to start (local production) because China is the second-largest market for Lexus models outside Japan (after North America),” Onishi said at the Shanghai international motor show on April 21.

The timing will be decided depending on sales increases and other factors, he added.

Honda Motor Co. will start manufacturing a sport utility vehicle from its luxury Acura line in China within three years, Honda President Takanobu Ito said April 20.

Last year, Nissan Motor Co. announced that it will begin assembling two models from its luxury Infiniti brand in China in 2014.

In 2012, 1.2 million vehicles priced more than 200,000 yuan (3.2 million yen, or $30,000) were sold in China, making it the world’s second-largest market for luxury vehicles. Sales are expected to increase substantially in the coming years.

Related Articles

Japan remains cautious about signing up to the China-led Asian Infrastructure Investment Bank, indicating that Tokyo will miss the March 31 deadline for application, but Taiwan and Norway said they would seek to join the institution.

Once a traditional Japanese pastime, cherry blossom viewing season is now drawing huge numbers of visitors from neighboring Asian regions, ahead of the traditional Qingming Festival (grave cleaning) holidays.

Honda Motor Co.’s first commercial aircraft now under development in the United States has received provisional type certification (PTC) from the U.S. Federal Aviation Administration (FAA), Honda said on March 30.

SHANGHAI--Russia, Australia and the Netherlands on March 28 became the latest three countries to say they plan to join the China-led Asian Infrastructure Investment Bank (AIIB), adding clout to an institution seen as enhancing China's regional and global influence.

SEOUL--South Korea said on March 26 it has decided to seek to be a founding member of the Asian Infrastructure Investment Bank (AIIB), another key U.S. ally joining the China-led institution despite Washington's misgivings.